Concept

RPM is an enterprise platform that delivers key value by extracting, analyzing and presenting all critical data and information for today’s Accounting and Disclosure Reporting requirements. The RPM suite of applications delivers exceptional value for the Utility and Energy industry.

RPM can be instrumental in meeting current industry requirements including comprehensive business continuity planning and strict adherence to legal and compliance standards. This includes detailed and ready access to accurate financial reporting amid a growing regulatory and business environment including:

Calculation of the fair value of assets – including those required under ASC 815 and ASC 820

Current Business Challenges:

RPM accomplishes the above by directly addressing the most challenging obstacles faced by businesses today including:

Valuing market prices of tangible and non-tangible assets of a firm

Manually processing data and reporting it

Minimal data transparency on how calculations are derived

Multiple data sources with different sets of filters

Several internal accounting teams with different procedural processes

Limited security on recorded data

The RPM Solution:

RPM is a confluence of data, rules and reporting layers that provides process automation for SEC disclosure and back office reporting requirements for the energy industry. HOC addresses these challenges with RPM delivering an infrastructure that is efficient, cost effective, and stands up to both internal and external audit. By its design, RPM is versatile enough to accommodate numerous changes in processes and procedures. Key features of the RPM platform include:

Consolidation of data into the RPM database from disparate data environments

Generation of Journal Entry reports using in-house accounting systems

Template-based reporting to replicate current formats

Automate all manual SEC Disclosure reporting processes

Auditable, SOX-compliant platform with friendly user interface and the ability to secure prior data after the accounting period is closed

Ability to add, manage and report manually adjusted records

Removal of data redundancy

Automatic data reconciliation in every process for overall transparency

Users can alter business rules with changes in processes with minimal support

ASC 820 (Fair Value measurement Disclosure)

Fair value continues to be an important measurement basis in financial reporting. The ASC 820 Disclosure summarizes the aggregated net Asset and Liability positions across various Fair Value Levels. The correct Fair Value Level Determination is essential in this disclosure, since there are various factors which determine the derivation of fair value. RPM provides a flexible framework to define rules and business logic to determine the fair value levels for transactions.

The disclosure also summarizes the Fair Value measurements using significant unobservable inputs (Level 3) on a quarterly and YTD basis. A quarterly roll forward of the Level 3 Purchases, Sales and Settlements provides a summary of the net unobservable positions across income statement accounts and accounting class. Finally, the report details the Level 3 transfers (IN and OUT) across subsequent quarters.

General Ledger Unrealized Detail and Summary Report

The robust and powerful template-based reporting framework in RPM allows for the creation of feature-rich Excel reports. This also enables RPM to create output in any custom format required by general ledger accounting systems, allowing journal entries to be uploaded automatically with minimal user interaction.

Master Reconciliation

The Master Reconciliation report is the master dashboard that visualizes, for a given accounting month or quarter, the flow of accounting data from the ETRM system right up to the general ledger account and SEC Disclosure report. This provides a powerful reconciliation tool and allows for a detailed analysis of the effect of various exclusions and manual adjustments. The Master Reconciliation removes the need to reconcile individual accounting processes.

Manual Adjustments - Data Entry, Maintenance and Reporting

RPM provides a powerful Manual Adjustments module which enables the users to enter and store various accounting and non-accounting manual entries in the system and use the same for SEC Disclosure and JE reporting. The Manual data entry feature is an extension to the Data Interface Management (DIM) framework that allows users to insert data into the data source tables manually through an inbuilt user interface. The data entered in the manual adjustments is fully audited. The reporting engine in RPM is designed to automatically roll in and roll out the manual adjustments in the accounting data depending on the current accounting month or quarter.